As e-commerce gains traction across Africa, the continent is coming up with innovative solutions to the last-mile challenge. In areas like Kibera for example, around Africa’s largest urban slum in Nairobi, East Africa’s legendary “Boda Boda” motorcycles have increased more than a 1000%, the E-Commerce Forum of South Africa (Efsa) has found. “It proves that the continent and its people have the ability,” said digital commerce expert Paris Philippou, “to find African solutions for African problems.” According to Philippou, who was speaking at an Efsa event in Johannesburg recently, it also shows that as cyber shopping gains greater traction across Africa and courier conglomerates like FedEx land their biggest 777 bird at OR Tambo International to cope with demand, the continent’s e-commerce naysayers are being silenced. “E-commerce is really encouraging young entrepreneurs to come up with better ideas for their own markets. “People understanding their own space and embracing opportunities made possible through e-commerce, is exactly what we need.” Last-mile headaches to get goods to e-commerce recipients in informal settlements are also fast disappearing through clever innovations. Once such method is What3Words, the triangulation app that has mapped the world with a unique triple-word phrase address for every square metre. “But it’s a solution that’s quite costly,” said Alistair Tempest, CEO of Efsa. He said Addressing the Un-addressed, a Google maps-related app that affixes people with a unique “Plus Code” geo-coordinate, has been tested with great success across India. “Not only has it been good for e-commerce but it has been much better for banking, helping people who don’t have bank accounts to participate in e-commerce.” Using initiatives like a “tokenised system which allows people to deposit cash into an ATM to closeoff a sale before they are issued with a reference number to receive their goods”, Philippou explained, “shows how modern courier services are getting around problems previously thought of as unsolvable.” “E-commerce was once accused of destroying jobs,” Tempest said. “The truth is that it increases by far the amount of courier services and the need for disruptive innovation. Whether through warehousing and call centres, people are beginning to see that e-commerce is actually contributing to job creation.”
INSERT: The continent and its people has the ability to find African solutions for African problems. – Paris Philippou
